Smart Wearable Devices

Overview

• Exclusive Case Studies
• Detailed Segment Analyses & Forecasts
• Social, Legal & Technological Barrier Analysis

This exciting new report and Interactive Forecast Excel provides an extensive analysis of the evolving smart wearable device market, highlighting the different segments within the ecosystem and the business service models which are reshaping the way wearable devices are monetised.

The Report Covers:

A. The Wearable Device Ecosystem. The rapid growth in sensors, component and system integration, along with next generation wireless technologies and mobile devices has driven the market for wearable devices. The report categorises the wearable device market into four key segments including:

• Consumer Wearables

-Sports & Fitness Wearables

-Multimedia & Entertainment Wearables

-Multi-function Wearables

• Enterprise & Industrial Wearables
• Healthcare Wearables
• Military Wearables

B. 30 Pages of Extensive Forecasts. The forecasts provided highlight the relative strength of the various areas and industries in which smart wearable devices are gaining traction, by setting out the top level forecasts in each category alongside one another.

Smart Wearables are part of the overall smart wireless accessories ecosystem and our forecast data has been derived as such.

Juniper's unique forecast suite for the smart wearable device market includes the following data points:

• The installed base and total number of smart wearable devices bought per annum split by region, country and segments
• Average retail price for smart wearable devices bought ($) and associated Retail Market Revenue ($m), split by region, country and segments
• Number of devices with subscription service (m), Subscription Cost ($) and associated Service Revenue ($m), split by region and country

Country level forecasts and average retail pricing/subscription models are included in the Interactive Forecast Excel. Country level forecasts are provided for Canada, US, UK, China, Japan and South Korea.

C. The Wearable Opportunity. Examines the future of the wearables market by looking at current wearable deployments and assessing their impact both in the consumer space and technologically. Several business models exist within the smart wearable device market place and these business models are analysed and defined by the segments to which they belong.

Key Features of The Report Include:

Hurdles to Wearable Deployments - Examines the critical barriers facing companies looking to release next-gen wearable devices; split into two distinct categories: social & legal, and technological.

The Business Case - Discusses the different service models focussing on monetising wearable devices. Readers will also receive key insights into the role played by the GSMA within the wearable device ecosystem.

Table of Contents

Executive Summary

1. The Advance of Smart Wearables

1.1 Defining Wearable Devices    21
Figure 1.1: Wearable Device Framework    22
Figure 1.2: Smart Wearable Device Properties    22
1.1.1 Components & Properties of a Wearable Device    23
Figure 1.3: Wearable Device Components    23
1.2 The Evolution of Wearable Devices    24
Figure 1.4: History of Wearables    24
1.2.1 From the 1980s to the Early-2000s    24
Figure 1.5: Mann's ‘WearComp’ invention from WearComp2 to WearComp7    25
1.2.2 Wearables 2.0    25
Figure 1.6: Nike+ iPod    26
1.2.3 Next-Generation Wearable Devices    26
Figure 1.7: Google Project Glass    27
Figure 1.8: Bionic Contact Lens    27
1.3 Wearable Technologies    28
Figure 1.9: Wearable Technologies    28
1.3.1 Accelerometers    28
1.3.2 GPS and Digital Compass    29
Figure 1.10: Location Based Services on Project Glass    29
1.3.3 Image Recognition    30
Figure 1.11: The Complexities of identifying 3D Objects    30
1.3.4 Speech Recognition    31
1.3.5 MEMS    31
Figure 1.12: A MEMS Device - Example    32
1.3.6 Networking Technologies    32
Table 1.1: Network Technologies: Advantages & Disadvantages    33
1.4 Driving the Wearable Trend    33
Figure 1.13: Wearable Device Drivers    33
1.4.1 Wearables are Possible    34
1.4.2 The Smartphone Revolution    34
1.4.3 The ‘Stay Connected’ Trend    34
1.4.4 The Decreasing Size of Technology    35
1.4.5 Greater Mobile Connectivity    35
i. 3G/4G Adoption    35
Figure 1.14: 3G/4G Mobile Subscribers (m) Split by 8 Key Regions 2012-2017    36
Table 1.2: 3G/4G Mobile Subscribers (m) Split by 8 Key Regions 2012-2017    36
1.4.6 Natural Progression of mHealth and Fitness Devices    36
1.4.7 Increasing Technological Awareness and New Emerging Services: Augmented Reality and LBS    37

2. Hurdles to Wearable Deployments

2.1 Introduction    39
Figure 2.1: Barriers to Deployment    39
2.2 Social and Legal Barriers    40
2.2.1 Privacy    40
i. Case Study: Parisian Response to Steve Mann’s EyeTap    40
ii. Case Study: Google Street View    40
2.2.2 Personal Information    41
2.2.3 Safety    41
2.3.4 Consumers Fear Spam    42
2.3.5 Meeting Expectations    42
Figure 2.2: Screenshots from Project Glass: One Day…    42
2.3.6 The Reach of Wearables    43
2.3.7 Regulation for mHealth Devices    43
2.3 Technological Barriers    44
2.3.1 Size Limitations    44
2.3.2 Battery Life    44
2.3.3 Mobile Internet Connectivity & Bandwidth Demand    45
2.3.4 GPS Limitations    45
Figure 2.3: GPS Signal Reflection    45
Figure 2.4: Urban Canyons    46
2.3.5 Image Recognition Limitations    46
2.3.6 Tracking Movement Accurately    47

3. The Wearable Opportunity

3.1 Smart Wearable Device Categories    49
Figure 3.1: Smart Wearable Device Categories    49
3.2 Consumer Wearables    50
Figure 3.2: Wearable Camera - Autographer    50
3.2.1 Case Study: InvenSense Announces SDK (Software Development Kit) for Wearable Devices    51
3.2.2 Case Study: Lumus    52
i. Background    52
ii. Strategic Directive: Technology and Services    52
Figure 3.3: Optical Engine Module - Lumus    52
Figure 3.4: Typical Applications    53
3.2.2 Sports & Fitness Wearables    53
i. Case Study: Nike+    54
a. Background    54
b. Product Portfolio & Strategic Directive    54
Figure 3.5: Nike+ Fuel Band    55
Figure 3.6: Nike+ Wearable Devices    55
c. Strategic Assessment    55
iii. Case Study: Fitbit    56
a. Background    56
b. Strategic Directive: Products and Services    56
Figure 3.7: Fitbit Wearable Device Working Model    56
Figure 3.8: Fitbit’s Free iPhone App    57
3.2.3 Multimedia & Entertainment Devices    57
a. Example: Ski Goggles from Recon Instruments    58
Figure 3.9: Recon Instruments Ski Goggle    58
i. Case Study: Vuzix    58
a. Corporate    59
b. Service Offering and Business Model    59
Figure 3.10: Vuzix Video Eyewear    59
c. Strategic Assessment    59
3.2.4 Multi-function Devices    60
i. Case Study: Google Project Glass    60
Figure 3.11: Project Glass    60
3.3 Enterprise & Industrial Wearables    61
i. Case Study: Motorola Solutions    61
i. Background    61
ii. UPS and Motorola Solutions    62
Figure 3.12: Wearable Bluetooth Scanner    62
3.4 Healthcare Wearables    62
3.4.1. Case Study: Withings    64
i. Corporate    64
ii. Service Offering and Business Model    64
Figure 3.13: Withings Blood Pressure Monitor    64
iii. Juniper’s View: Withings Key Strengths and Strategic Development Opportunities    65
3.5.3 Healthcare Future Applications: Ingestible Sensors    65
Figure 3.14: Ingestible Sensors    66
3.5 Military Wearables    66
3.6 Patents and Next-Gen Wearable Prototypes    67
3.6.1 Google’s Wearable Patents    67
Figure 3.15: Google Wearable Device Patents    67
3.6.2 Apple’s Wearable Patents    68
Figure 3.15: Apple’s Wearable Display Patent    68
3.6.3 Sony’s Wearable Patents    69
Figure 3.16: Sony’s Communication Device    69
3.6.4 Olympus’ MEG 4.0 Prototype    69
Figure 3.17: Olympus MEG 4.0 Prototype    70

4. The Business Case for Wearables

4.1 The Wearables Market    71
Figure 4.1: The Wearable Device Ecosystem    71
4.1.1 Case Study: Connected Living - GSMA    72
i. Background    72
ii. The Smart Wearable Device Opportunity    72
4.2 The Ecosystem & Stakeholder Opportunities    73
Figure 4.2: Elements of the Wearable Device Value Chain    73
4.2.1 Wireless Connectivity Providers – MNOs & Technology Providers    74
Table 4.1: Connectivity Technology Comparison: Smart Peripherals vs. Smart Home Networking    74
i. Bluetooth    74
a. ANT+    75
4.2.2 The Wearable Device Service Enablers – Consumer Brands    75
4.2.3 Wearable Device Hardware & Chipset Module Players    76
4.3 The Service Models    76
Figure 4.3: Wearable Device Revenue Models    76
Table 4.2: Smart Wearable Device Business Models    77

5. Smart Wearable Device Market

5.1 Assumptions and Methodology    79
5.1.1 Forecast Steps    80
i. Analysis of the Current Market    80
ii. Smartphone Penetration    80
iii. Evaluation of Business Model and Company Prospects    80
5.1.2 Methodology for Sales Volume and Market Value of Smart Wearable Devices    81
Figure 5.1: Smart Wearable Device Market Forecast Methodology    81
5.2 Global Wearable Device Market    82
5.2.1 Number of Smart Wearable Devices Bought    82
Figure 5.2: Global Number of Smart Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    83
Table 5.1: Global Number of Smart Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    83
Figure 5.3: Global Number of Smart Wearable Devices Bought per Year (m)  Split by Device Segments 2012-2017    84
Table 5.2: Global Number of Smart Wearable Devices Bought per Year (m)  Split by Device Segments 2012-2017    84
5.2.2 Global Smart Wearable Device Installed Base Forecasts    84
Figure 5.4: Global Smart Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    85
Table 5.3: Global Smart Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    85
Figure 5.5: Global Smart Wearable Device Installed Base (m)  Split by Device Segments 2012-2017    86
Table 5.4: Global Smart Wearable Device Installed Base (m)  Split by Device Segments 2012-2017    86
5.3 Consumer Wearable Devices    86
Figure 5.6: Global Number of Consumer Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    87
Table 5.5: Global Number of Consumer Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    87
Figure 5.7: Global Number of Consumer Wearable Devices Bought per Year (m)  Split by Device Segments  2012-2017    88
Table 5.6: Global Number of Consumer Wearable Devices Bought per Year (m)  Split by Device Segments 2012-2017    88
5.3.1 Fitness & Sports Wearable Devices    88
Figure 5.8: Global Number of Fitness & Sports Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    89
Table 5.7: Global Number of Fitness & Sports Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    89
Figure 5.9: Fitness & Sports Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    90
Table 5.8: Fitness & Sports Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    90
5.3.2 Entertainment & Multimedia Wearable Devices    90
Figure 5.10: Global Number of Entertainment & Multimedia Wearable Devices Bought  per Year (m) Split by 8 Key Regions 2012-2017    91
Table 5.9: Global Number of Entertainment & Multimedia Wearable Devices Bought  per Year (m) Split by 8 Key Regions 2012-2017    91
Figure 5.11: Entertainment & Multimedia Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    92
Table 5.10: Entertainment & Multimedia Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    92
5.3.3 Multi-function Wearable Devices    92
Figure 5.12: Global Number of Multi-function Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    93
Table 5.11: Global Number of Multi-function Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    93
Figure 5.13: Multi-function Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    94
Table 5.12: Entertainment & Multimedia Wearable Installed Base (m)  Split by 8 Key Regions 2012-2017    94
5.4 Healthcare Wearable Devices    94
Figure 5.14: Global Number of Health Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    95
Table 5.13: Global Number of Health Wearable Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    96
Figure 5.15: Health Wearable Device Installed Base (m) Split by 8 Key Regions 2012-2017    96
Table 5.14: Health Wearable Device Installed Base (m) Split by 8 Key Regions 2012-2017    97
5.5 Enterprise & Industrial Wearable Devices    97
Figure 5.16: Global Number of Enterprise & Industrial Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    97
Table 5.15: Global Number of Enterprise & Industrial Devices Bought per Year (m)  Split by 8 Key Regions 2012-2017    98
Figure 5.17: Enterprise & Industrial Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    98
Table 5.16: Enterprise & Industrial Wearable Device Installed Base (m)  Split by 8 Key Regions 2012-2017    99

6. Smart Wearable Revenue Forecasts

6.1 Global Wearable Device Revenue Forecasts    101
Figure 6.1: Retail Market Value of Smart Wearable Devices Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    101
Table 6.1: Retail Market Value of Smart Wearable Device Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    102
Figure 6.2: Retail Market Value of Smart Wearable Devices Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    102
Table 6.2: Retail Market Value of Smart Wearable Device Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    103
6.2 Consumer Wearable Device Revenue    103
6.2.1 Global Consumer Wearable Device Revenue    103
Figure 6.3: Retail Market Value of Consumer Wearables Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    103
Table 6.3: Retail Market Value of Consumer Wearables Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    104
Figure 6.4: Retail Market Value of Consumer Wearables Bought per Year ($m)  Split by Device Segments 2012-2017    104
Table 6.4: Retail Market Value of Consumer Wearables Bought per Year ($m)  Split by Device Segments, 2012-2017    105
6.2.1 Fitness and Sports Wearable Device Revenue    105
Table 6.5: Available Pricing Models for Fitness & Sports Wearables, Split by US & UK    105
Figure 6.5: Retail Market Value of Fitness & Sports Wearable Devices Bought per Year ($m) Split by 8 Key Regions, 2012-2017    106
Table 6.6: Retail Market Value of Fitness & Sports Wearable Devices Bought per Year ($m) Split by 8 Key Regions, 2012-2017    106
6.2.2 Entertainment & Multimedia Wearable Device Revenue    107
Table 6.7: Available Pricing Models for Entertainment & Multimedia Wearables    107
Figure 6.6: Retail Market Value of Entertainment & Multimedia Wearable Devices Bought per Year ($m) Split by 8 Key Regions, 2012-2017    108
Table 6.8: Retail Market Value of Entertainment & Multimedia Wearable Devices Bought per Year ($m) Split by 8 Key Regions, 2012-2017    108
6.2.3 Multi-function Wearable Device Revenue    108
Figure 6.7: Retail Market Value of Multi-function Wearable Devices Bought per Year ($m) Split by 8 Key Regions, 2012-2017    109
Table 6.9: Retail Market Value of Multi-function Wearable Devices Bought per Year ($m) Split by 8 Key Regions, 2012-2017    109
6.3 Health Wearable Device Revenue    110
Figure 6.8: Healthcare Wearable Device Subscription Revenue Forecast Methodology    110
6.3.1 Healthcare Wearable Device Retail Revenue    110
Figure 6.9: Retail Market Value of Healthcare Wearable Devices Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    111
Table 6.10: Retail Market Value of Healthcare Wearable Devices Bought per Year ($m)  Split by 8 Key Regions, 2012-2017    111
6.3.2 Healthcare Wearable Subscription Revenue    111
Figure 6.10: Healthcare Wearable Device Subscription Revenue ($m), Split by 8 Key Regions, 2012-2017    112
Table 6.11: Healthcare Wearable Device Subscription Revenue ($m) Split by 8 Key Regions, 2012-2017    112
6.4 Enterprise & Industrial Wearable Device Revenue    113
Figure 6.11: Retail Market Value of Enterprise & Industrial Wearable Devices Bought  per Year ($m) Split by 8 Key Regions, 2012-2017    113
Table 6.12: Retail Market Value of Enterprise & Industrial Wearable Devices Bought  per Year ($m) Split by 8 Key Regions, 2012-2017    113

Companies Referenced

Interviewed

Fitbit, GreenPeak, GSMA, InvenSense, Lumus, Vuzix, Withings

Mentioned

Adidas, Amazon, Apple, Bauer, BBC, BestBuy, BodyMedia, Cardionet, Cole Haan, Converse, Dexetra, Dynastream Innovations, eCardio, Entra Health Systems, Exeter Group Brands, Face.com, Facebook, Financial Times, Fitbit, Food and Drug Administration, Foundry Group, Garmin, Georgia Institute of Technology, Google, GottaBeMobile, GreenPeak, GSA, GSMA, Gymtechnik, Hockey,  Hurley International, Infologix, InvenSense, Jawbone, Kionix, LG, LifeWatch, Looxcie, Lumus, MedApps, MedHelp, Microsoft, MIG, MIT, MIT Media Lab Group, MobiSante, Motorola Mobility, Motorola Solutions, NIKE, Nokia, Nokia Siemens Network, Olympus, Philips, Pocket-lint, Polar, Proteus Biomedical, Qualcomm, Quest Diagnostics, Recon Instruments, Run GPS, Runkeeper, Samsung, Seiko, Sierra Wireless, SoftTech VC, Sony, Texas Instruments, The Technology Partnership (TTP), True Ventures, Twitter, United Parcel Service, University of Washington, VIA Technologies, Vusix, WearComp, Weightbot, Withings, UMTS Forum, Verizon, Virgin Media, Vizio, Vodafone, Western Digital, WiFi Alliance, YouTube

Case Studies

Fitbit, Google Project Glass, GreenPeak, GSMA, InvenSense, Lumus, Motorola Solutions, Nike+, Vuzix, Withings

Extra Info

‡ 8 key regions includes:

North America, Latin America, Western Europe, Central & Eastern Europe, Far East & China, Indian Subcontinent, Rest of Asia Pacific and Africa & Middle East.